- The act allowed the President to negotiate trade agreements with foreign nations that could contain up to a 50 percent discount on tariffs. The receiving nation was required to give the same discount to the United States.
- Congress feared the act may give too much power to the President. To counteract this, the act simultaneously created the Committee for Reciprocity Information and the Committee on Trade Agreements in Congress to oversee the implementation of the act.
- The act was signed into law by President Franklin Delano Roosevelt on Jun. 12, 1934. The United States signed more than 20 reciprocal trade agreements in five years.